This quiz works best with JavaScript enabled. Home > Accounting > Financial Accounting > Financial Accounting – Quiz 120 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Financial Accounting Quiz 120 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Transactions and events that cannot be measured in money terms are not recorded in the books of accounts. It is due to Money Measurement Concept. A) True. B) False. Show Answer Correct Answer: A) True. 2. The responsibility for staffing the organisation for public sector is under the purview of A) Public Service Department. B) Ministry of Finance. C) Malaysian Administration Modernisation Planning Unit. D) Ministry of Transport. Show Answer Correct Answer: A) Public Service Department. 3. Guidelines that accountants consistently use to prepare financial statements, making multiple statements comparable to one another. A) Generally Accepted Accounting Principles (GAAP). B) Generally Applied Accounting Principles (GAAP). C) Generally Accepted and Applied Accounting Principles (GAAAAP). D) General Accounting Principles (GAP). Show Answer Correct Answer: A) Generally Accepted Accounting Principles (GAAP). 4. Accruing Uncollected Revenue What would be the effect on assets? A) Assets would increase. B) Assets would decrease. C) Assets would remain unchanged. D) None of the above. Show Answer Correct Answer: A) Assets would increase. 5. The process of identifying, classifying, recording and communicating business transaction is called A) Accounting. B) Bookkeeping. C) Double entry. D) Accountancy. Show Answer Correct Answer: A) Accounting. 6. Balance sheet is an example of ..... A) Classifying. B) Summarizing. C) Recording. D) Interpreting. Show Answer Correct Answer: D) Interpreting. 7. The formula for calculating the net income ratio is: A) Net income divided by total sales. B) Total sales divided by total expenses. C) Total sales minus total expenses divided by net income. D) None of these. Show Answer Correct Answer: A) Net income divided by total sales. 8. Which of the following is current asset A) Land and building. B) Machinery. C) Cash. D) Furniture. Show Answer Correct Answer: C) Cash. 9. Raju edition gaya source noodles A) Yes. B) No. C) Both. D) None of the above. Show Answer Correct Answer: A) Yes. 10. Which of the following errors that cannot be revealed by a Trial Balance- A) Errors of original entry. B) Errors in calculation. C) Errors in omission of one entry. D) Transposed errors. Show Answer Correct Answer: A) Errors of original entry. 11. Dividing related operations among two or more employees. A) Monitoring. B) Separating responsibilities. C) Competent personnel, rotating duties, mandatory vacations. D) Risk assessment. Show Answer Correct Answer: B) Separating responsibilities. 12. Amounts owing to persons or other organizations is known as ..... A) Capital. B) Liability. C) Assets. D) Creditors. Show Answer Correct Answer: B) Liability. 13. The Hire-purchase Act, 1972 was to come into force on A) 31st Dec, 1972. B) 1st Jan, 1973. C) 1st Sep, 1973. D) None of the above. Show Answer Correct Answer: C) 1st Sep, 1973. 14. Accounting information that has been measured and reported in a similar manner for different enterprises is considered ..... A) Understandable. B) Reliable. C) Comparable. D) Relevant. Show Answer Correct Answer: C) Comparable. 15. Find the term to match the meaning below:Inventory unsold at the end of an accounting period. This will also appear as a current asset in the Statement of Financial Position. A) Closing inventory. B) Opening inventory. C) Purchases. D) Carriage out. Show Answer Correct Answer: A) Closing inventory. 16. Cash consists of A) Certificates of deposit. B) IOUs. C) Postage stamps. D) Coins, currency, chequing accounts and certificates of deposit. E) Coins, currency, and chequing accounts. Show Answer Correct Answer: E) Coins, currency, and chequing accounts. 17. Debt may be of ..... types A) 3. B) 2. C) 5. D) None. Show Answer Correct Answer: A) 3. 18. Which type of asset has a physical form? A) Master asset. B) Tangible asset. C) Informal asset. D) Intangible asset. E) None of the above. Show Answer Correct Answer: B) Tangible asset. 19. Who is consider the 'Father of Accounting'? A) Luca Pacioli. B) John Pacioli. C) J. Betty. D) None of above. Show Answer Correct Answer: A) Luca Pacioli. 20. The formula to show the amount of tangible fixed assets used to guarantee each rupiah of long-term liabilities is..... A) Assets $-$ $-$. B) Assets $-$ $-$. C) Assets $-$ $-$. D) Assets $-$ $-$. Show Answer Correct Answer: A) Assets $-$ $-$. ← PreviousNext →Related QuizzesAccounting QuizzesFinancial Accounting Quiz 1Financial Accounting Quiz 2Financial Accounting Quiz 3Financial Accounting Quiz 4Financial Accounting Quiz 5Financial Accounting Quiz 6Financial Accounting Quiz 7Financial Accounting Quiz 8Financial Accounting Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books